Also
Present - Michael Nietzel, President
Kent Thomas, Chancellor of the West Plains Campus
Greg Onstot, Vice President for University Advancement
Belinda McCarthy, Provost
Greg Burris, Vice President for Administrative and Information Services
Jim Baker, Vice President for Research and Economic Development
Don Aripoli, Vice President for Student Affairs
Kent Kay, Chief Financial Officer
John Black, General Counsel
John McAlear, Secretary of the Board

2. Joint Meeting of the Missouri State Board of Governors and the Springfield City Council --- This joint meeting began at 7:30 a.m. in the Plaster Student Union, Ballroom East, with welcoming remarks made by Dr. Michael Nietzel, President of Missouri State University, and Ms. Evelyn Honea, Assistant City Manager of the City of Springfield. The following reports were presented:

* Mr. Greg Burris, Vice President for Administrative and Information Services for Missouri State University, and Mr. Ralph Rognstad, Planning Director for the City of Springfield, combined to give a status report on the 1996 Cooperative Agreement between Missouri State University and the City of Springfield regarding the area south of Grand Street from National Avenue on the east to Dollison Street on the west, and north of the alley between Normal and Delmar. Most of the pertinent sections of the agreement have been completed. Some sections are ongoing or in progress, while just a couple of sections needed to be revised.

* Mr. Ken McClure, Associate Vice President for Administration at Missouri State University, next gave an update on the Jordan Valley Innovation Center. Phase I of this project is scheduled to be completed by April 2007 with occupancy set for May 2007. This phase encompasses 49,700 sq. ft. of the western most portion of the old MFA building located on Boonville Street. This renovation was funded by $11.4 million in federal funds received from the Department of Defense. The JVIC will be the home of the Center for Applied Science and Engineering, its corporate affiliates, and the Center for Biomedical and Life Sciences.

* Mr. Greg Burris returned to provide a status report on the $67,000,000 JQH Arena project. Ground breaking is set for December 21, 2006.

* Mr. Earl Newman, Assistant Public Works Director for the City of Springfield, next gave an update on the traffic, parking, and pedestrian study for the MSU campus area and surrounding streets that the City and University agreed to have performed by a professional engineering consultant, HNTB. The short-term portion of this study was shortened to having the consultant review the plans for the JQH Arena construction period and has been completed. The mid-term plan to accommodate all events at the arena including but not limited to recommendations for traffic control, street modifications, parking operations, pedestrian circulation, and servicing requirements should be completed by February 2007. The long-term plan to provide the University and the City with a plan to accommodate long-term growth of the City and University is required to be completed by April 2007.

Dr. Nietzel commented that the town-gown relationship between the City and University is different than in many other cities and this close, cooperative relationship allows the two to engage in highly productive work together. Closing remarks were provided by Mayor Tom Carlson, City of Springfield, and Mr. Michael Franks, President of the Missouri State University Board of Governors.

The Board recessed their joint meeting with the Springfield City Council at 8:45 a.m.

3. Presiding --- The presiding officer for the Board’s regular meeting was Mr. Michael Franks, President of the Board of Governors. He called the meeting back to order at 9:00 a.m. in the Traywick Parliamentary Room in the Plaster Student Union on the campus of Missouri State University in Springfield, Missouri.

4. Consent Agenda --- Mr. Franks noted that the first item of business on the agenda was the approval of the Consent Agenda for this meeting. Mr. McAlear commented that the “Consent to the Granting of an Alcoholic Beverage License by the City of Springfield to Cody’s Convenience Store #20, 1211 E. Grand” was to be removed from the Consent Agenda. The items included in the Consent Agenda are:

Minutes
Approval of the minutes of the October 27, 2006 open Board of Governors meeting.

Approval of the minutes of the December 1, 2006 open Executive Committee meeting.

Approval of the purchase of real estate located at 812 Webster Avenue at the appraised cost of $82,600 (West Plains Campus Land Purchase No. 25-06).

Approval to increase the maximum usage amount for computer support services from Sungard SCT, Inc. in conjunction with providing services on an “On-Call” basis (West Plains Campus Purchase Approval No. 38-06). This $10,000 increase brings the maximum usage amount to a new total of $49,600.

Design and Construction Items
Approval of Activity Report for the month of October 2006 (Activity Report No. 167-06).

Approval of Activity Report for the month of November 2006 (Activity Report No. 168-06).

Site electrical on the JQH Arena project (Bids & Quotations No. 1190-06); Bill’s Electric, Inc., low bid of $60,918; total project budget established at $67,000,000. This bid was approved by the Board’s Executive Committee on December 1, 2006.

Site Utilities/Offsite Improvements on the JQH Arena project (Bids & Quotations No. 1191-06); Kenmar Construction, Inc., low bid of $706,826; total project budget set at $67,000,000. This bid was approved by the Board’s Executive Committee on December 1, 2006.

Mass Excavation/Demolition on the JQH Arena project (Bids & Quotations No. 1192-06); Hartman & Company, Inc., low bid of $1,095,900; total project budget set at $67,000,000. This bid was approved by the Board’s Executive Committee on December 1, 2006.

Mr. Buford made a motion to approve the Consent Agenda receiving a second from Mr. Winston.

Motion passed 7-0.

Mr. Franks then recognized two retiring faculty members in the audience with a combined length of service of over 70 years – Dr. Donal Stanton of the Communication Studies Department, and Dr. Jim Giglio of the History Department.

5. President’s Office --- President Michael Nietzel first mentioned that the agenda included a general statement pertaining to a resolution regarding the Jordan Valley Innovation Center (JVIC). He asked if the Board would consider adding a specific resolution regarding the naming of the JVIC. Mr. Hammons moved to add this naming resolution and Mr. Buford provided the second.

Motion passed 7-0.

Dr. Nietzel then presented a resolution (Facilities No. 36-06) naming the Jordan Valley Innovation Center building as the Roy D. Blunt Jordan Valley Innovation Center. This naming is in recognition of the essential contributions that Congressman Blunt has made to this project. The formal naming will occur at the ribbon cutting in April or May 2007. Mr. Hammons so moved, receiving the second of Mr. Duggan

Motion passed 7-0.

He next presented a resolution (Finance No. 993-06) amending the resolution of official intent toward the issuance of auxiliary enterprise system revenue bonds and reimbursement of expenditures for the JQH Arena from proceeds of tax-exempt bonds and authorization of an amendment to the gift agreement with Mr. John Q. Hammons Trust. This resolution amends Mr. Hammons’ gift commitment from $2 million in cash and $28 million in debt service to $1 million in cash and $29 million in debt service. He added that we have already received the $1 million in cash from Mr. Hammons this year. Motion made by Mr. Duggan and seconded by Mr. Winston.

Motion passed 7-0.

Dr. Nietzel next presented a resolution (Agreement No. 188-06) approving the addendum to the Amended and Restated Ballpark License Agreement to lease Hammons Field for Missouri State University baseball games and practices for the period of March 14, 2007 through March 13, 2008 at the same terms as last year’s lease. Moved by Mr. Duggan. Seconded by Mr. Hammons.

Motion passed 7-0.

He then presented a resolution (Human Resources No. 1221-06) approving the addendum to the employment contract of Dr. James P. Baker as Vice President for Research and Economic Development. Mr. Hammons pointed out a typographical error on the bottom of page two where the contract referred to “President” when it should have been “Vice President.” With that minor correction, Mr. Hammons so moved, receiving the second of Ms. Smith.

Motion passed 7-0.

Dr. Nietzel then commented on the Faculty Handbook revision resolution that will be presented to the Board later in today’s meeting. This has been a very long and thorough process and this proposal will vastly improve the Handbook. He introduced the members of the Faculty Handbook Review Committee, chaired by Dr. Rhonda Ridinger. He endorses the recommendation that Provost McCarthy will be making to revise the Handbook, which was previously mailed to the Board.

He next commented on another resolution to be presented later today – the selection of a vendor for the University’s Enterprise Resource Planning (ERP) system. He introduced the ERP evaluation committee, chaired by Mr. Jeff Morrissey. He added that this was a very demanding, technical process. Dr. Nietzel then reported on some accompanying personnel changes – Mr. Kent Thomas will be leaving his position in West Plains to become the Project Director for the 30-36 month implementation of this new computer system. Mr. Dennis Lancaster will become the Acting Chancellor in West Plains until a full-time Chancellor is hired. Dr. Jim Baker will chair that search committee.

Dr. Nietzel next reported that the new minimum wage of $6.50 that becomes effective on January 1, 2007 represents an institution-wide annual additional cost of $460,000.

Dr. Nietzel ended his remarks by reporting that the committee to study the University’s freedom of expression principals and the degree to which they are understood and followed, that was formed in the settlement of the Social Work lawsuit, has been appointed and will be chaired by Howard Cavener. The committee is to have a report back to Dr. Nietzel in about three months. He added that Dr. McCarthy will report on the outside experts who have been selected as reviewers of the Social Work program.

6. Educational:
a. Faculty Senate Report --- Dr. Mark Richter, Chairman of the Faculty Senate, first introduced Ms. Melanie Grand, Hospitality & Restaurant Administration, to report on the two recommended honorary degree recipients. Ms. Grand reported that the two recipients are Mr. Jim Craig and Ms. Annie Busch. Mr. Craig will be awarded an Honorary Doctorate of Humane Letters and Ms. Busch will be awarded an Honorary Doctorate of Public Affairs. Mr. Franks asked if there was a motion to approve the recommendation of Mr. Craig (Awards No. 18-06). Moved by Mr. Duggan and seconded by Mr. Hammons.

Motion passed 7-0.

Mr. Franks asked if there was a motion to approve the recommendation of Ms. Busch (Awards No. 19-06). Moved by Ms. Washington. Seconded by Mr. Hammons.

Motion passed 7-0.

Dr. Richter then reported that at the Senate’s December 7th meeting a report on Background Checks was received from the Academic Relations Committee. This report lists the pros and cons of doing background checks, such as the expense and necessity of checks as well as the issue of safety. He commented that he would be more than happy to discuss the analysis when the Board has had a chance to thoroughly review it.

b. Report from the Provost --- Dr. Belinda McCarthy, Provost, first reported that the two consultants who will be reviewing our Social Work program are Dr. Karen Sowers from the University of Tennessee-Knoxville, and Dr. Michael Patchner from Indiana University-Purdue University Indianapolis. They will be visiting the campus in February and we expect their report in March.

She then presented a resolution (Faculty Policies No. 114-06) approving the revised Faculty Handbook with an effective date of January 1, 2007. She clarified the new wording that Mr. Hammons recommended in Section 2.11.2.1 University Sponsored Fringe Benefits. Since a new health plan has been approved in which participation in wellness activities is encouraged strongly and those who do not participate will be required to make some type of contribution to their health insurance premium, new wording is necessary - after the phrase “…with the premiums paid by the university” these words should be included – “consistent with the Board approved health care plan.”

Mr. Franks asked if the major differences of opinion between the Faculty Handbook Committee and the administration could be highlighted. Dr. Nietzel commented that one difference is how Faculty Salary Goals would be set. The administration is recommending that these be set by comparison to a CUPA average by Rank, while the Faculty Senate requested that it be by Rank and Discipline. The second major difference of opinion is that the Faculty Senate said that if there is a salary pool insufficient to generate a cost of living increase for those faculty members receiving a score of three (adequate), then the performance approach be suspended. Dr. Nietzel commented that he has responded that if the salary pool is less than two percent, we would continue to do the performance evaluations but that it would not make sense to drive that through the matrix. Dr. Nietzel commented that he has also agreed to look at definitions of faculty workload in the spring. Mr. Franks asked if there was a motion to approve the revised Faculty Handbook as proposed by the Provost and the President. Mr. Winston so moved, receiving the second of Mr. Hammons.

Motion passed 7-0.

Dr. McCarthy then presented a resolution (Administration No. 13-06) approving the reorganization of the College of Education including the elimination of Library Science’s affiliated departmental status. Moved by Mr. Buford. Seconded by Mr. Duggan.

Motion passed 7-0.

She next presented a resolution (Curriculum No. 301-06) approving the 2008-2009 academic calendar. Moved by Ms. Washington and seconded by Mr. Buford.

Motion passed 7-0.

7. Research and Economic Development --- Dr. Jim Baker, Vice President for Research and Economic Development, reported that the number of sponsored program proposals submitted through November of FY07 total 100 compared to a total of 92 through November of FY06. We have been awarded $5.9 million when compared to last year’s total, at this time, of $5.7 million.

8. West Plains Campus --- Mr. Kent Thomas, Chancellor of the West Plains Campus, reported that the West Plains Campus just completed hosting the National Volleyball Tournament for the sixth year – they were not selected to be the host school next year. This tournament has brought about one million dollars of revenue to the City of West Plains each year. He added that Missouri State University-West Plains finished third in the nation this year.

9. Student Affairs:
a. Report from Student Body President --- Mr. Sean Cain, President of the Student Body, reported that the Recreation Center Referendum passed by about 2,700 votes for to 2,100 votes against. He also thanked Dr. Nietzel for the midnight breakfast that was put on just a few nights ago during finals week.

b. Report from Vice President for Student Affairs --- Dr. Don Aripoli, Vice President for Student Affairs, presented the following resolutions for the Board’s consideration:

Approval of a resolution (Student Policies No. 89-06) for funding need-based scholarships for Missouri Savings for Tuition (MOST) participants. This represents 12 scholarships at $500 each (10 in Springfield and two in West Plains).

Approval for collection of a Campus Recreation and Wellness Center Fee (Student Policies No. 90-06). The actual fee will be included in the annual fee resolution which the Board will review and act on at the March meeting.

Adoption of Notification of Student Rights under the Family Educational Rights and Privacy Act -FERPA (Student Policies No. 91-06).

He then presented a resolution (Student Policies No. 92-06) approving a modification to the Student Employment Pay Scale and Student Employment Handbook. This amendment was necessary due to the minimum wage being raised to $6.50. Moved by Ms. Washington, receiving the second of Mr. Winston.

Motion passed 7-0.

Dr. Aripoli reported that the Wellness kickoff will be January 30, 2007. We want our faculty and staff to understand that we are serious about wellness on our campus – both as a way to improve their lives and the quality of their employment and to help us address cost issues with health insurance.

He next reported that our enrollment numbers as of December 1 this year compared to December 1 of last year are looking very good.

He ended his comments by reporting that there are no Wyrick proposals this year. The Wyrick funds will be carried forward and that will give us a double pool of funds next year.

10. Staff Senate --- Mr. Ben Boslaugh, Chair of the Staff Senate, reported that Myril Stewart and the Veterans Committee did an outstanding job this year with Veterans Day activities. He next reported that the study of university-wide committees that was a joint study with the Faculty Senate was approved unanimously by both the Faculty Senate and the Staff Senate.

11. Finance:
a. Development Report --- Mr. Greg Onstot, Vice President for University Advancement, gave the development report for the first five months of the fiscal year. This year’s November was down considerably when compared to last November – this would be attributed to gifts received in the special campaigns and one-time only gifts. For the year, total gift dollars are down about $218,000 and total gift numbers are up by 215. He next reported that as of the end of October, our endowment has reached $49,933,000 so it appears that we will be exceeding an endowment of $50 million this month. He finished his report by thanking the Board for the opportunity to work at the institution almost 25 years.

b. Financial Report --- Mr. Kent Kay, Chief Financial Officer, first presented a resolution (Purchase Approval No. 104-06) accepting the proposal submitted by SunGard to install and implement an Enterprise Resource Planning (ERP) system on the Springfield campus. SunGard submitted the “lowest and best” offer with the contract period of December 15, 2006 through December 14, 2009. Moved by Ms. Washington and seconded by Mr. Winston.

Motion passed 7-0.

He next presented a resolution (Purchasing Activity Report No. 292-06) for purchases exceeding $100,000 from December 2, 2006 through December 14, 2006. Moved by Ms. Washington. Seconded by Mr. Hammons.

Motion passed 7-0.

Mr. Kay then presented a resolution (Purchase Approval No. 105-06) approving Raymond James & Associates, Inc., and A.G. Edwards and Sons, Inc., as bond managers and underwriters respectively for the JQH Arena. Moved by Mr. Duggan. Seconded by Mr. Hammons.

Motion passed 7-0.

Mr. Kay then reviewed the June 30, 2006 Audited Financial Statements with the Board. Ms. Kim Hamm of BKD, LLP reported that they have provided a clean (or unqualified) opinion on the financial statements. She explained that, as part of their annual audit, they look at the university’s system of internal controls and offer recommendations for the university’s consideration. She reviewed these recommendations with the Board.

12. Facilities and Equipment/Human Resources --- Mr. Greg Burris, Vice President for Administrative and Information Services, presented the following resolutions for the Board’s consideration:

Professional services in conjunction with the phase two renovations of the Jordan Valley Innovation Center (Architects & Engineers No. 625-06); Ross & Baruzzini, for $167,330 plus reimbursable expenses. Additional services of up to $30,000 as described in this agreement may be authorized and approved as necessary.

13. New Business --- Mr. Franks commented that the new Board has discussed the need to operate differently over the long haul. We now have an Executive Committee. With only seven board meetings scheduled in a calendar year, the Board needs to consider establishing some additional separate committees to address matters between board meetings. He offered the possibility of three committees – Academic Affairs, Finance, and Student Affairs. He asked the members of the Board to consider which committee they would like to serve on and to let him know prior to the March meeting. He also asked them to let him know if other committees are needed instead of or in addition to the three committees he has proposed.

14. Date of Next Meeting --- The date of the next scheduled meeting was set for March 9, 2007 at 9:00 a.m., on the West Plains Campus.

15. Adjournment --- Mr. Franks adjourned the meeting at 11:10 a.m. on the motion of Mr. Duggan, the second of Mr. Winston, and the unanimous vote of the Board.